Resolution No. 39,868/2016 of the Argentine Superintendence of Insurance published in the Official Gazette on June 9, 2016, details the information life insurance and annuity companies are obliged to report under Resolution No. 23,841/2008.

Resolution No. 39,868/2016 of the Argentine Superintendence of Insurance (the "Superintendence") provides certain amendments to the information that life insurance and annuity companies are required to report to the Superintendence through the so-called Anti-Money Laundering for Life Insurance Policies (the "Anti Lavado de Dinero de Seguro de Personas" or ALSEP after its acronym in Spanish), implemented by Resolution No. 23,841/2008. The ALSEP is a system developed by the Superintendence in the context of a series of measures aimed at detecting and preventing money-laundering felonies. Its main objective is to detect unusual and suspicious transactions of money-laundering in the life insurance market.

The Resolution details the transactions and amounts that insurance companies shall have to report to the Superintendence through said system.

Thus, insurance companies shall report all transactions of life policies and annuities (excluding mandatory insurance) involving: (a) total surrenders and partial withdrawals of any amount equal or higher than AR$ 260,000, or the equivalent in foreign currency; (b) loans for any amount equal or higher than AR$ 70,000, or the equivalent in foreign currency; (c) benefits paid for any amount equal or higher than AR$ 450,000, or the equivalent in foreign currency; and (d) rescission of policies that cause cash flows in favor of either the beneficiary or the policy holder due to the reimbursement of insurance premiums for an amount equal or higher than AR$ 70,000. Finally, the Resolution establishes that, if companies have had no transactions during the relevant period of time, the report must be filed as "uneventful".

It is worth noting that, in the past, companies had to report all surrenders, loans, benefits, and rescissions related to life insurance and annuities (excluding mandatory insurance), for an amount of AR$ 30,000 or higher.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.